San Diego, Oct. 21, 2011 (Shareholders Foundation) -- At least two investors in Brigham Exploration Company (NASDAQ: BEXP) filed lawsuits in State Courts in effort to block to proposed takeover of Brigham Exploration by Statoil ASA for $36.50 per NASDAQ:BXEP share.
According to the complaints the plaintiffs allege that the defendants breached their fiduciary duties arising out of the attempt to sell Brigham Exploration Company too cheaply via an unfair process to Statoil ASA.

On, Monday, Oct. 17, 2011, October 17, 2011, Brigham Exploration Company (NASDAQ: BEXP) and Statoil ASA (OSE: STL) (NYSE: STO) announced that the companies have entered into an merger agreement for Statoil ASA to acquire Brigham Exploration Company for US$36.50 per share by means of an all-cash tender offer for all of the issued and outstanding shares of Brigham Exploration Company.

Following the takeover proposal, NASDAQ BEXP shares jumped from $30.36 on Friday to $36.38 on Monday and continued to increase until Thursday when BEXP shares surpassed the current offer and traded during Thursday as high as $36.58 per share Thursday

The plaintiff alleges that the $36.50offer undervalues the current $36.50offer and says the offer doesn’t reflect the true value of Brigham Exploration Company. In fact, NASDAQ: BEXP stocks traded as recently as April 5, 2011 as high as $37.35 per share, thus well above the $36.50offer. Additionally, at least one analyst has set a price target as high as $45.00 per share for BXEP stocks.

Furthermore, Brigham Exploration’s financial performance improved lately. Brigham Exploration’s annual Revenue rose from $70.34million for 2009 to $169.72million for 2010 and Brigham Exploration was able to pull out of a Net Loss of $122.99million for 09 and report a Net Income of $42.90million in 2010. Additionally, Brigham Exploration Company reported that its second quarter Revenue rose from $44.93million last year to $128.04million this year and its second quarter Net Income increased from $18.47million for the second quarter 2010 to a second quarter Net Income of $70.83million for the second quarter in 2011.

In addition shares of Brigham Exploration Company (Public, NASDAQ:BEXP) grew at an exceptional growth rate. NASDAQ: BEXP stocks grew from as low as $1.14 per share in March 09 to over $37 in April 2011.

The plaintiff also alleges that defendants have exacerbated their breaches of fiduciary duties by agreeing to deal protection devises, such as a matching right, a $136.55million termination fee, and a strict no-solicitation provision, that preclude other bidders from making a successful competing offer for Brigham Exploration Company.